Jack Wall
Question:139 Mr. Wall asked the Minister for Transport the steps he is taking to ensure better value for money in major road building projects; and if he will make a statement on the matter. [7131/03]
Written Answers - Roads Projects.
The 2003 Estimates provision of €1.209 billion will bring total Exchequer investment in the programme over the period 2000-03 to approximately €3.8 billion, which is more than €900 million in excess of that provided for in the NDP. This will enable good progress to be maintained in the upgrading of the network. I am concerned to ensure that we get maximum value for money for the high level of investment in the national roads network.
It is clear that financial resources alone will not be sufficient to guarantee the benefits from major investment now being made. Projects need to be delivered efficiently and cost effectively to ensure value for money is obtained. Tight cost control and delivery of projects must be the foremost guiding principle of programme implementation.
The National Roads Authority has overall responsibility for the planning and supervision of works for the construction and maintenance of national roads. It supervises the award of major road contracts by road authorities against relevant public procurement criteria including economic advantage to the public sector.
A wide range of measures have already been taken by the NRA to improve cost estimation and control and to secure greater certainty in the outturn cost of projects. These include: the appointment of specialist cost estimation staff, the publication of revised specifications, reduction in carriageway cross section width, and the greater use of the design and build form of contract.
In addition, a senior group of officials is currently considering additional funding options for the national roads programme. As part of its work, the group is considering the scope for further improvements in cost estimation and con trol procedures, including the greater use of fixed price contracts. The group will shortly present its report to the cross-departmental team and the Cabinet sub-committee on infrastructure, housing and public private partnerships. The report will provide a basis for the team and the Cabinet sub-committee to review the funding of the programme having regard,inter alia, to its increased cost.
These measures, together with the moderation in construction cost inflation that has occurred over the past year, will assist in achieving value for money and greater output for our investment going forward.
As I announced on Sunday, arrangements are being put in place for the regular monitoring of major roads projects with particular reference to project costs, progress and target dates for completion.